Steel Mills

ArcelorMittal to produce electrical steel with IRA funding

April 19, 2024

After receiving a hefty federal tax credit, ArcelorMittal plans to produce non-grain-oriented electrical steel (NOES) in Alabama.

ArcelorMittal Calvert LLC received a tax credit of $280.5 million for the project, according to a Department of Energy (DOE) announcement on Friday.

The Qualifying Advanced Energy Project Credit (48C) tax credit is meant to accelerate clean energy and cut emissions in the manufacturing and recycling sectors. It is funded with $10 billion from the Inflation Reduction Act (IRA).

The DOE, Department of Treasury, and Internal Revenue Service (IRS) announced in March that 100 unnamed projects were receiving $4 billion in credits in the first round of the 48C program. The ArcelorMittal NOES project is one of 35 from round one that chose to voluntarily self-disclose information to DOE to share publicly.

A spokesperson for ArcelorMittal North America did not respond to requests for comment.

JSW takes the credit too

JSW Steel USA was also on the DOE’s list. The steelmaker is receiving a 48C allocation of $43.5 million to support the ongoing $ 145-million investment at its Mingo Junction mill in Ohio.

A JSW spokesperson had not responded to a request for comment as of Friday evening.

Editor’s note: This story has been updated from an earlier version which incorrectly identified AM/NS Calvert, a joint venture between ArcelorMittal and Nippon Steel, as moving into electrical steel production.

Laura Miller

Laura Miller is a reporter and editor for Steel Market Update. Since 2007, she has held various editorial and marketing positions with steel industry publications, associations, and mills. In 2021, after a five-year hiatus working across other industries, she returned to steel trade journalism, joining SMU in 2022. She is a member of the Association of Women in the Metal Industries and a past-president of the AWMI Pittsburgh Chapter. She holds a BA in Latin American Studies from Edinboro University of Pennsylvania. She can be reached at laura@steelmarketupdate.com or 724-759-7869.